Editorial pointed out economic injustices

Editor, the Record:

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poconorecord.com

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Posted Jun. 16, 2013 at 12:01 AM

Posted Jun. 16, 2013 at 12:01 AM

» Social News

Editor, the Record:

Your June 9 editorial, titled "Our stratified U.S. economy," is right on point. Some national politicians boldly complain about the fact that we have two Americas: a rich one and a poor one. Your editorial has it more accurate.

There are probably 15 or 20 layers to the U.S. economy. The further down the line one finds himself, the harder the struggle to make ends meet. And what exactly are the blowhards in Washington doing to help straighten out some of our economic problems? Exhaling hot air about the dignity of work and doing absolutely nothing constructive. Both parties are completely devoid of the political courage and leadership that are desperately needed at this point in our history.

Goldman Sachs slashed 900 jobs and paid CEO Lloyd Blankfein $26 million, some of it "performance bonus." You know why? Because taxpayers subsidize the bonus payment. Last fall in a Wall Street Journal article, titled "How CEOs have their hands in our pockets," I learned how corporations get to use a tax-code provision that allows them to deduct from their income tax obligation a dollar-for-dollar credit for paying a performance bonus. Perfect. If you or I get a bonus, the rotten (expletive) tax it. If corporate decision-makers want to pay a bonus, let them do so from their own debt or equity funds.

The federal tax code allows for annual tax credits, exemptions and deductions of $1.2 trillion, the exact amount of the current annual deficit. Where's the political and moral courage to fix this injustice? If the Washington crowd wants to fix entitlements, let them start with the tax code. If they want to have people experience the dignity of work, let them work on a bipartisan basis to fix the economy.